Page 66 - RusRPTMar19

6.2 Debt
Russia - External debt 2012 2013 2014 2015 2016 2017 Jan-Jun ‘18
Budget: external debt (USD bn)
2,363.52 2,844.56 2,729.43 2,169.01 2,073.22 2,096.24 1,005.41
Budget: external debt (% GDP)
29.02 31.73 29.07 37.89 39.83 32.84 /
source: CEIC, CBR
Russians owed roughly $450bn to foreign (non-resident) entities at the start of this year. Russia’s foreign debt, measured in dollars, fell by 12% in 2018.
While half of Russia’s foreign debt is denominated in dollars and a quarter in rubles, nearly two-thirds of government foreign debt is denominated in rubles. Measured in dollars, the debt has decreased due to debt repayment and depreciation of the ruble. Foreigners have reduced their investment positions, especially in ruble-denominated government debt.
The government accounts for 10% of the country’s foreign debt, banks another 19% and non-bank corporates nearly 70%. Especially banks’ foreign liabilities are counterbalanced by their assets held abroad and receivables from abroad.
Besides foreign debt, the stock of direct investments that have flowed from abroad into Russian firms (incl. banks) was about 520bn dollars at the beginning of October.
Russia’s reserves cover the international sovereign and commercial debt for the first time in history, President Vladimir Putin said on February 20 in his State of the Nation Address to the Federal Assembly. "We have a strong financial safety cushion. I can inform you - and this is a nice and good piece of news - our reserves completely cover the foreign debt of the state, which is very small, and the commercial sector for the first time in our history," Putin noted.
66 RUSSIA Country Report March 2019 www.intellinews.com